The strategic mindset has dramatically shifted during 2010 from operational efficiency and cost reduction to a greater emphasis on growth, customers, and innovation.
Investing in Today – and Tomorrow
Firms are no longer clamping down on IT expenditures. They now are striking a balance between short-term cost containment and solutions that can drive revenue growth and foster stronger customer relationships.
For example, 70% are actively pursuing analytics solutions to improve decision making and operational efficiency.
And, 66% are adopting or planning to adopt cloud solutions to optimize costs and redundancy while increasing uptime and scalability.
These and other IT priorities are supported by a strong IT budget growth outlook, with more than half expecting a budget increase in 2011 versus only 20% in 2009.
Partnering for Growth
To advance these priorities, more than 70% are seeking a consultative, versus transactional, relationship with their primary IT provider.
Global Overview: Survey of 2,112 midmarket leaders, with 100 from India, reveals how business priorities influence IT investment decisions around the world
Shift in strategic mindset for Indian midsize businesses reveals greater emphasis on customers and innovation Note: Question in 2009 asked differently than 2010. Percents pulled directly from 2009 WW Comprehensive Report -31 pts - 10 pts 19 pts 22pts Change from 2009 Innovation Revenue Growth Customer Focus Operational efficiency and cost reduction Strategic Mindset Percentage 0% 20% 40% 60% 7% 7% Current Mindset 2009 Mindset
2011 Most Critical Business Priorities Note: Question in 2009 asked differently than 2010 with percents based on a 5-point scale. Percents pulled directly from 2009 WW Comprehensive Report (and assuming they are Top 2 Box %’s) (Scale 0-10 top 8,9,10 combined) 2009 Top Business Issues
Improving efficiency/ Reducing costs
Prospecting or going after new customers
Integrating supply chain
Dealing with new regulations
Developing corporate responsibility
Midsize businesses in India continue to see cost reduction, improved efficiencies and customers as critical business priorities, with a growing focus on productivity Cost reduction / improved efficiencies 81% Increased employee productivity 76% New ways to reach customers 76% Improved customer svc. 76% Products / services to market faster 73% Expansion to new countries 70% Increased insights for better decision making 70% Collaboration 67%
Firms are looking to improve their core infrastructure while embarking on projects in areas such as analytics, collaboration, and cloud computing Current Stage of IT Focus Area Implementation top 12 chosen from a list of 25 IT focus areas IT Infrastructure Improvements 75% Collaboration 70% Business Analytics / Intelligence 70% Business Performance Management 70% Information Management 69% Mobility / Unified Communications 68% Virtualization 67% Cloud Computing 66% Software as a Service 65% Customer Relationship Management 62% Regulatory Compliance 59% Security Management 59% Started But Not Completed Planned But Not Started Infrastructure-related Collaborative Business Oriented
Indian firms are implementing a wide range of projects for unified communications, cloud, software as a service, and knowledge management Current Stage Of IT Focus Areas Implementation Started But Not Completed Planned But Not Started Infrastructure-related Collaborative Business Oriented Mobility / Unified Communications 72% Cloud Computing 70% Software as a Service (SaaS) 67% Know. Mgmt / Human Cap. Mgmt 67% Green IT 66% IT Infrastructure Improvements 64% Bus. Performance Mgmt (BPM) 63% Disaster Recovery / Bus. Continuity 63% Supply Chain Management 63% Virtualization 61% Web 2.0 / Social Media 61% Regulatory Compliance 60% Collaboration 57% Customer Relationship Mgmt (CRM) 56% Information Management 55% Security Management 55% Business Analytics / Intelligence 54% Financial Mgmt / Finance Ops 53% ERP (Enterprise Resource Planning) 43%
Barriers To Achieving IT Priorities Midsize firms in India must address issues related to cost, skills, and implementation before IT priorities can be fully realized Global India Difference (India– WW)
58% 51% -7pts
Difficulty in acquiring /implementing solution
44% 44% --
Inability to implement technology with existing resources / infrastructure